"Premium" line

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passerbyeus

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Ok I am trying to understand what this premium line is, if raf-a-licious is such a good seller then why raise the price? Does the ingredients cost more to make it then you are making from it? If this is the case do the other juices you sell make a good enough profit to offset this so you can keep the price the same for us?
 

Porphy

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I've always set the bar low for profit to price ratio. That being said, yes the flavorings for these juices are expensive to the point that they cost more to make than they are to sell. I create my loss-leaders during sales and I'm very up front about it. The premium line is a direct result of customers requesting to keep these flavors on the shelves vs. being taken down forever. This is our attempt to make that happen. We will keep them up there for as long as they sell, that is to say more than 1 bottle within a reasonable amount of time. The flavors will remain there and the prices will be adjusted as the flavoring providers hike their prices (this happens quite often so we will see how it plays out)

I'm already not a fan of this situation but I have to make my customers happy. I don't believe in rewarding a company for raising their prices rapidly much like these companies have, and by keeping these flavors available I am buying their product at these prices, essentially rewarding them for their behavior. So, once this is done and running I'll make sure to focus more effort on getting new flavors in the regular line-up. Hopefully, we can get people away from these flavors and onto something that is competitively priced.
 

Porphy

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Okay, let me update this and help clarify what's going on with the Premium Line and spread some news about Raf-a-licious.

Firstly, Raf-a-licious will NOT be back. The price has become insane by way of the flavoring company and will not be arriving. To frame this so we can be clear we'll use a loose example. Lets say all the flavorings I get are averaged out to boil down to 1 dollar per gallon (this obviously isn't the case but we're using small base numbers so you can see why it gets silly). Alone each flavoring has a standard price and all are different from the rest but on the average it boils down to 1 buck per gallon. Now with the recent price hikes to Irish Cream and Christy's Cappuccino have raised the average to 1.25 per gallon, a sizable increase but deliverable, especially with the "Premium Line" to help offset the cost.

Now we add in the new raf-a-licious prices where bulk sizes have been taken out and lower sizes have been increased in price. Now it takes 4 times the amount of money to get 1/2 as much. With the new prices adding in Raf-a-licious to the average (and it is not bought quite as well as our leader liquids) it bumps the average up for just one juice. The reality is it is even more than that when you factor in current sales, number of juices in our line-up, sales potential, and availability.

We will not be offering Raf-a-licious not only because of the price but because this sets a horrible standard with which other supply companies might follow. By giving them the money to provide the flavoring we are accepting this type of business practice and it just isn't a sustainable system. Trust me, you do not want to see this type of pricing increase catch on. It is basic greed, they have seen an upswing in these particular flavors and are trying to play a numbers game with our community. Just because you can charge more for a product doesn't mean that you necessarily should, all things staying the same.

If this company ever reverts back to near their old pricing Raf-a-licious may come back but until then it will not be on our shelves.
 

Porphy

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I don't see this happening with flavors I've had around since the beginning (Boba's, Havana Gold, Flue Cured, Sweet Tart, and I'll add Hype here to since it's fairly new but comes from a supplier I have a long standing with) The relationships with these providers are solid, we're in no way taxing their ability to create flavors, and most importantly they tend to raise prices in-line with what our economy provides for us each year (around 3 to 7% which it totally doable)

At least you are willing to take a stand against these price hikes, even if it means less sales to you and loss of a (fairly) popular juice. Gotta respect that....

Let's just hope the same situation doesn't happen with Boba's. THAT would be tragic.
 

Porphy

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Any chance you will be creating an alternative to Rafalicious? A "New" take on RY4 from Alien Visions, using different flavours from less difficult suppliers of course?

Down the line, but not within the next few weeks. I have to scrap the idea and come back at it, something new.
 

hildicat

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That is a real shame. RAF has been my favorite juice since the first time I tried it. I will have to ration my remaining supply until I can find a suitable alternative, or until ave comes up with some sort of replacement. I do understand that you are looking out for the community, but I am being very selfish when i say that it's a sad day indeed now that I know RAF is no more.

So now that the official word is out about RAF, would you mind if I ask this thread what they consider to be a similar juice?
 

Porphy

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We will be releasing the last of our Raf-flavors but since we are low and not restocking we'll have to make them up and stock them as premade bottles (with a quantity). I have a feeling these will go fast so I'll have a specific time and date for when they are going online setup well in advance, look for this happening within the next week.
 
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